Tag

C Archives - Options Trading Strategies for Consistent Income - OptionPundit

Citi, BofA May Need to Increase capital

By | Daily Report | No Comments

According to Wall Street Journal, U.S. regulators told Citigroup Inc and Bank of America Corp they may need to raise more capital. The shortfall in capital amounts to billions of dollars at BofA, the paper said, citing people familiar with the bank. Both banks, whose officials are objecting to the preliminary findings of the tests, plan to respond with detailed rebuttals, the people told the paper, adding BofA’s appeal is expected by Tuesday. It is likely that Citigroup and BofA are not the only banks that the Federal Reserve has determined might need more capital, the paper said. Expect more…

Read More

Citi, Uptick and Mark-To-Market

By | Daily Report, Market Psychology, Technical Analysis, US Market | No Comments

So we had it finally. The pressurized spring bounced back and shorts were pressed against the wall to cover. Fantastic rally by all means, it was easily qualified as a 90% Upside Day on both the NYSE and the NASDAQ that too on expanding volume. Market breadth was also much more impressive during yesterday’s rally. I had never thought (Probably Vikram Pandit as well) that his letter to Citi (C) employee can spark such a massive global stock market rally. In fact there were 3 things of note yesterday. Citi CEO’s letter. Reimpose the uptick rule (An untick rule is…

Read More

Citi(C), Aflac(AFL), SanDisk(SNDK) and DOW

By | Daily Report, US Market | 2 Comments

There is a lot of earnings data this week and today is also heavy. There doesn’t appear to be a clear direction. As of this writing futures are pointing to modestly higher opening. Here are four heavyweights- Citigroup (C) issued a quarterly progress report sharing how they are deploying $45 billion in capital it received from the Treasury under the TARP. “Our responsibility is to put these funds to work quickly, prudently and transparently to increase available lending and liquidity,” said CEO Vikram Pandit in a statement included in the report. To that end, Citi said it is putting $36.5…

Read More

JP Morgan Chase beats by $0.07, misses on revs

By | Market Psychology, Technical Analysis, US Market | No Comments

JP Morgan Chase (JPM) Reported Q4 (Dec) earnings of $0.07 per share, $0.07 better than the First Call consensus of ($0.00); revenues fell 0.9% year/year to $17.23 bln vs the $18.83 bln consensus. Losses were in investment banking due mark downs on leveraged loans and mortgage trading positions. They faced higher credit costs associated with continued deterioration across our loan portfolios, including a $4.1 billion addition to loan loss reserves. Let’s see how it filters to the financials today. What a nasty day that it was. A worse-than-expected retail sales report brought the sellers into the market it sold off in…

Read More

Is Berkshire in Trouble?

By | Investment Strategy, Market Psychology, US Market, Worldwide Markets | No Comments

This 2 part series will cover recent market developments about Berkshire Hathaway, points to a strategy on how you may benefit more on the same trades he did recently and an option trading strategy that probably Berkshire uses for maximizing it returns on the underlying they find worth investing. Don’t forget to read the big picture of US stock markets. Markets are behaving pretty much that way. I am opening December portfolios for OPNewsletter, to join, pls click here. Before I proceed, I must mention that I admire Mr Buffett’s skills. I got an opportunity to meet-up face to face with…

Read More

Cut Jobs, Raise Rates, Buy Shares

By | Daily Report | No Comments

A day after Citigroup (C) hit a multi-year low and relaxed below $10, CEO Vikram Pandit’s bought some shares (~>US$8MM) and announced to axe another 10,000 jobs. He also decided to raise rates on credit cards. Weren’t they suppose to lower the rates when FED is even willing to go lower than 1%, hello!!!Sure “they” know something that I don’t? Sales fell a larger than expected 2.8% for the month (consensus -2.1%), while Sales less autos declined a larger than expected 2.2% (consensus -1.2%). Doesn’t spell well for the upcoming Christmas Season. Freddie Mac lost $25billions, when are they going to stop bleeding money,…

Read More
DISCLAIMER AND NOTICES: None of OptionPundit or any of its officers, directors, employees, other personnel, representatives, agents or independent contractors is, in such capacities, a licensed financial advisor, a registered investment adviser or a registered broker/dealer. Options involve risk and are not suitable for all investors. All investors who deal with options should read and understand the publication "Characteristics and Risks of Standardized Options." A copy of this publication can be obtained by clicking on this link. OptionPundit does not promise, guarantee or imply verbally or in writing that anything taught through our newsletter, in any printed material, or displayed on our website will necessarily result in a profit. OptionPundit is the copyright owner of all text and graphics contained on this website. Copying, publishing or redistributing any material in any way without the written consent of OptionPundit is strictly prohibited.The owners, publishers, and agents of OptionPundit are not liable for any losses or damages, monetary or other that may result from the application of information contained within this website and/or newsletter. Within this website, we publish materials that meet specific criteria representing characteristics associated with described trading strategies. Individual traders must do their own due diligence in analyzing featured options to determine if they represent a suitable opportunity. OptionPundit and any of their agents, affiliates, representatives, employees, principals, business associates or affiliates, partners or independent contractors are not responsible for any losses or profits that may result from the application of information contained within this website and/or newsletter. Past performance is not indicative of future results. Option trading involves substantial risk. You can lose money trading options. The past results posted on this site are meant to give you a reasonable idea of what you could have made or lost trading by following the OptionPundit service but are in no way an exact reflection of what you would have made or lost. Therefore, you should not rely on our past trade results as a perfect replication of what your returns or losses would have been by following our service. There are inherent risks involved in the stock market and these risks should be considered prior to any decision. The representatives of OptionPundit may or may not hold a position in any stocks listed at the time of publication and reserve the right to buy or sell any security, option, future or derivative product without notification. Nothing published by OptionPundit should be considered personalized investment advice. Although the OptionPundit team may answer your general customer service questions, they are not licensed under securities laws to address your particular investment situation. No communication by the OptionPundit team to you should be deemed as personalized investment advice. OptionPundit products are delivered electronically by email and by access to a membership area where trade alerts and special alerts are posted. ©2015 OptionPundit. All rights reserved. Terms of use apply. Reproduction, adaptation, distribution, public display, exhibition for profit, or storage in any electronic storage media in whole or in part is prohibited under penalty of law.